AuKing Mining has agreed to purchase 100% of the Machinga Heavy Rare Earth Elements (HREE) Project in southern Malawi.
The project covers two exploration licences spanning approximately 200.4km², located nearly 20km north of the city of Zomba and roughly 40km east of Lindian Resources’ Kangankunde Project.
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Completion of the acquisition is subject to approval from the Mining and Minerals Regulatory Authority in Malawi.
The acquisition includes a staged payment structure. AuKing has already paid a non-refundable A$5,000 ($3,504) to secure exclusivity, and completed due diligence and necessary approvals.
Upon completion, the company will pay A$750,000 in cash and issue A$750,000 in ordinary shares at $0.025 per share, along with A$1.25m in performance shares.
These performance shares are subject to the milestone of reporting a Joint Ore Reserve Committee-compliant mineral resource of at least ten million tonnes at 0.65% total rare earth oxides (TREO) within three years.
Historical exploration at Machinga has identified mineralisation across a strike length of 2km, with key intercepts such as 15.1m at 1.01% TREO and niobium, and other holes showing grades ranging from 0.6% to 1.4% TREO.
Heavy rare earth oxides (HREO) account for around 28–30% of the rare earth content, exceeding levels reported in many ionic clay deposits.
The mineralisation at Machinga is hosted within an alkaline igneous system, which has similarities to significant rare earth projects such as Bokan-Dotson Ridge in Alaska.
The project area features surface-exposed mineralisation, providing potential for open-pit mining approaches.
AuKing managing director Paul Williams said: “The proposed acquisition of the Machinga Heavy Rare Earths Project represents another important step in AuKing’s strategy to build a portfolio of high-quality critical minerals projects in Malawi.
“Historical exploration, together with the more recent work undertaken by DY6 Metals/Tusker Minerals, has confirmed Machinga as a highly prospective heavy rare earth and niobium project.”
The Machinga project is positioned within the Chilwa Alkaline Province, an established rare earth region in Malawi.
In March 2025, AuKing announced an agreement to acquire up to a 50% shareholding in Orion Resources, the proposed new owner of the Cloncurry Gold Project in northern Queensland, Australia.
